Problem Solver: HughesNet Cancellation Fee

When you hear the phrase "money back guarantee" it sounds risk free, right? Not necessarily. One Upstate family asked us for help when their Internet provider told them they were keeping their money even though they canceled within the 30 day time limit. Dianne Derby finds a way to help in a 7 On Your Side Problem Solver.

When Jackie Worley's Internet wasn't working fast enough he decided to switch to HughesNet.

"We saw a commercial for HughesNet so we got the phone book out and looked the number up," said Worley.

He says the HughesNet representative he called gave him what sounded like a risk-free deal.

"You don't like it in 30 days you can cancel it and get your money back," said Worley as he described the promise made to him on the phone.

But when he tried to use the Internet with HughesNet...

"It took between two and three minutes to get a web page," said Worley.

Days later he wanted to cancel but the company told him he would be charged a $200 cancellation fee.

"Everybody I called I tried to get supervisors on the phone but I couldn't get them," said Worley.

We had trouble, too. As the Problem Solver for News Channel 7I deal with a lot of companies every day but I have to admit I had a tough time trying to get to someone in charge at HughesNet. Once I did Mr. Worley's problem was solved.

In an e-mail HughesNet's Jordan Klevenow said the $200 installation fee is non-refundable. However, the company decided to refund him his money saying they realize, "this piece of information may not have been effectively communicated to Mr. Worley at the time of his installation."

Attorney Ken Anthony says once a company has your money the burden of proof is on you to get it back.

"As long as people choose to do things in a mutual fashion like that and they do it orally that's a contract," said Anthony. "Of course, the problem if there is one between an oral and written contract is going back and proving what was said."

Anthony says to protect yourself get agreements in writing and record conversations.

"There is nothing wrong with tape recording the conversation as long as you're a party to it," said Anthony.

That way you won't have to face the challenges Mr. Worley did in getting his money back.

7 On Your Side wants to make sure you know what to look out for when looking at advertising from a business. The Department of Consumer Affairs tells us there are several red flags:
--Promises or guarantees that seem "too good to be true"
--Ads that direct you only to a P.O. box, a website, or a toll free number
--Any time the words "100% legal" are used